performance. Our theoretical analysis focuses on bank incentives to manage bad loans. We show that interventions involving bank … perspective, in particular how do they affect recession duration? We find that bank restructuring, which includes bank … but smaller. Blanket guarantees on bank liabilities and monetary policy do not have a significant effect. …

-term resilience. We investigate the effects of such liquidity regulation on bank liquid assets and liabilities. Results indicate co …

Diamond-Dybvig model cast in a global games framework, we show that while the CoCo conversion of the issuing bank may bring … the bank back into compliance with capital requirements, it will nevertheless raise the probability of the bank being run … on other banks in the system in the likely case of correlated asset returns, so bank runs elsewhere in the banking system …